Franchise Laws by State: Registration, Filing, and Compliance Requirements

California is one of the most heavily regulated franchise states in the country. Franchisors must register their Franchise Disclosure Document (FDD) with the DFPI before offering or selling franchises. California also has its own franchise relations law that governs the ongoing franchisor-franchisee relationship.

Hawaii requires franchise registration before any franchise offer or sale can occur in the state. The state regulates franchising under the Hawaii Franchise Investment Law (HRS Chapter 482E). Hawaii also has franchise relationship provisions that protect franchisees.

Illinois requires franchise registration under the Illinois Franchise Disclosure Act (815 ILCS 705). The Attorney General office reviews FDD filings and must approve registration before any franchise can be offered or sold in the state. Illinois also has a separate Franchise Disclosure Act that provides franchisee protections.

Indiana requires franchise registration under the Indiana Franchise Disclosure Law (IC 23-2-2.5). The Securities Division of the Secretary of State office oversees franchise filings. Franchisors must register before offering or selling franchises in Indiana.

Maryland requires franchise registration under the Maryland Franchise Registration and Disclosure Law. The Securities Division of the Attorney General office reviews filings. Maryland also has significant franchise relationship protections that franchisors must follow.

Michigan requires franchise registration under the Michigan Franchise Investment Law (MCLA 445.1501 et seq.). The Attorney General office administers franchise registrations. Franchisors must register their FDD before making any offers or sales in Michigan.

Minnesota requires franchise registration under the Minnesota Franchise Act (Minn. Stat. 80C). The Department of Commerce reviews all franchise filings. Minnesota also has strong franchise relationship protections covering termination, non-renewal, and transfer.

New York requires franchise registration under the New York Franchise Sales Act (GBL Article 33). The Department of Law Investor Protection Bureau conducts a thorough review of all FDD filings. New York is one of the most active franchise regulatory states.

North Dakota requires franchise registration under the North Dakota Franchise Investment Law (NDCC Chapter 51-19). The Securities Department administers franchise registrations. North Dakota also has franchise relationship protections.

Rhode Island requires franchise registration under the Rhode Island Franchise Investment Act. The Securities Division of the Department of Business Regulation handles franchise filings. Registration must be effective before any franchise offer or sale.

South Dakota requires franchise registration under the South Dakota Franchises Act. The Division of Insurance handles franchise filings through its securities regulation arm. Franchisors must register before offering or selling franchises in the state.

Virginia requires franchise registration under the Virginia Retail Franchising Act. The State Corporation Commission Division of Securities and Retail Franchising administers the registration process. Virginia is an active registration state with a dedicated franchise regulatory division.

Washington requires franchise registration under the Washington Franchise Investment Protection Act (RCW 19.100). The Department of Financial Institutions Securities Division oversees franchise filings. Washington also has franchise relationship protections.

Wisconsin requires franchise registration under the Wisconsin Franchise Investment Law (Wis. Stat. 553). The Department of Financial Institutions Division of Securities reviews franchise filings. Wisconsin also has a Fair Dealership Law that provides relationship protections.